Customers Hate Comcast. Why Don't Investors?

Will poor customer service cut into profits?

On Wednesday's MarketFoolery, host Chris Hill and Bill Barker, an analyst from Motley Fool Funds, look at Comcast(NASDAQ:CMCSA) and how profits continue to go up as customer service remains low.

Second-quarter profits rose 15%, even though Comcast lost 144,000 customers. That was less than it saw a year ago, though, and Bill thinks Comcast can afford to lost customers, since it's well entrenched and still benefits if people shift their viewing habits toward online TV.

Comcast often finds itself on lists of companies with the worst customer service, and Bill says he's had similar experiences to the customer whose attempts to cancel his Comcast service recently went viral. But Bill argues that it doesn't matter, because everyone already knows about Comcast's poor customer service and many customers won't abandon its services regardless, though he does think Comcast could enjoy greater profits if it did shore up its customer service.